Laos allows crypto trading and mining in first trial phase

The Lao government has authorised six companies to trade and mine cryptocurrencies in a move seen as an attempt to benefit from the crackdown on digital currency mining in China.

According to a notice issued by the Prime Minister’s Office, the companies have been approved to trade cryptocurrencies such as Bitcoin, Ether and Litecoin, The Laotian Times reported, adding that relevant ministries still have to draft regulations governing their use.

The companies that have been given the green light are Wap Data Technology Laos, Phongsubthavy Road & Bridge Construction, Sisaket Construction Company, Boupha Road-Bridge Design Survey, Joint Development Bank and Phousy Group.

Government ministries will work with the Bank of Laos and the Lao Electric Power Company, a national utility, to regulate the industry, the report said. The results of the investigation and consultation will be discussed at a government meeting later this month.

Surplus hydropower to be used for energy-hungry mining farms

Analysts said the move was a logical step for the landlocked country of seven million which produces a surplus of hydroelectric power. The use of hydropower to mine crypto might allow Laos to pitch the industry as “carbon neutral” at a time when the carbon footprint of cryptocurrencies is coming under growing international criticism.

However, some warned that criminal gangs could seek to profit from the trade, while a number of companies and individuals have already been trading in digital currencies through unofficial channels and view the trial program as paving the way for full authorisation.

The crypto push marks a U-turn after the country’s central bank last month warned banks, companies and people against using cryptocurrencies. The Lao government has also vowed to step up efforts to fight money laundering recently, after coming under scrutiny from the Financial Action Task Force, the US and the UN Office on Drugs and Crime.



Support ASEAN news

Investvine has been a consistent voice in ASEAN news for more than a decade. From breaking news to exclusive interviews with key ASEAN leaders, we have brought you factual and engaging reports – the stories that matter, free of charge.

Like many news organisations, we are striving to survive in an age of reduced advertising and biased journalism. Our mission is to rise above today’s challenges and chart tomorrow’s world with clear, dependable reporting.

Support us now with a donation of your choosing. Your contribution will help us shine a light on important ASEAN stories, reach more people and lift the manifold voices of this dynamic, influential region.

$
Personal Info

Donation Total: $10.00

 

 

The Lao government has authorised six companies to trade and mine cryptocurrencies in a move seen as an attempt to benefit from the crackdown on digital currency mining in China. According to a notice issued by the Prime Minister’s Office, the companies have been approved to trade cryptocurrencies such as Bitcoin, Ether and Litecoin, The Laotian Times reported, adding that relevant ministries still have to draft regulations governing their use. The companies that have been given the green light are Wap Data Technology Laos, Phongsubthavy Road & Bridge Construction, Sisaket Construction Company, Boupha Road-Bridge Design Survey, Joint Development Bank and...

The Lao government has authorised six companies to trade and mine cryptocurrencies in a move seen as an attempt to benefit from the crackdown on digital currency mining in China.

According to a notice issued by the Prime Minister’s Office, the companies have been approved to trade cryptocurrencies such as Bitcoin, Ether and Litecoin, The Laotian Times reported, adding that relevant ministries still have to draft regulations governing their use.

The companies that have been given the green light are Wap Data Technology Laos, Phongsubthavy Road & Bridge Construction, Sisaket Construction Company, Boupha Road-Bridge Design Survey, Joint Development Bank and Phousy Group.

Government ministries will work with the Bank of Laos and the Lao Electric Power Company, a national utility, to regulate the industry, the report said. The results of the investigation and consultation will be discussed at a government meeting later this month.

Surplus hydropower to be used for energy-hungry mining farms

Analysts said the move was a logical step for the landlocked country of seven million which produces a surplus of hydroelectric power. The use of hydropower to mine crypto might allow Laos to pitch the industry as “carbon neutral” at a time when the carbon footprint of cryptocurrencies is coming under growing international criticism.

However, some warned that criminal gangs could seek to profit from the trade, while a number of companies and individuals have already been trading in digital currencies through unofficial channels and view the trial program as paving the way for full authorisation.

The crypto push marks a U-turn after the country’s central bank last month warned banks, companies and people against using cryptocurrencies. The Lao government has also vowed to step up efforts to fight money laundering recently, after coming under scrutiny from the Financial Action Task Force, the US and the UN Office on Drugs and Crime.



Support ASEAN news

Investvine has been a consistent voice in ASEAN news for more than a decade. From breaking news to exclusive interviews with key ASEAN leaders, we have brought you factual and engaging reports – the stories that matter, free of charge.

Like many news organisations, we are striving to survive in an age of reduced advertising and biased journalism. Our mission is to rise above today’s challenges and chart tomorrow’s world with clear, dependable reporting.

Support us now with a donation of your choosing. Your contribution will help us shine a light on important ASEAN stories, reach more people and lift the manifold voices of this dynamic, influential region.

$
Personal Info

Donation Total: $10.00

 

 

NO COMMENTS

Leave a Reply